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Brazilian Ministry of Transportation Installs RFP For Studies OF New Highway Concessions

February 14, 2014 | Author: Claudia Elena Bonelli

Law Firm: TozziniFreire Advogados - São Paulo Office

As part of the federal highway privatization program, already in its third stage, the Federal Government installed new requests for proposals (“RFPs”) concerning federal highway concessions.

On February 03, 2014, the Ministry of Transportation published in the Federal Official Gazette 4 RFPs for preparatory studies related to federal highway concessions. The future public procurement proceedings to be installed based on such studies will grant to the private initiative approximately 2,625 kilometers of highways, of which 2,282 kilometers are double lanes. The investment is estimated at US$ 8,9 billion.

The RFPs refer to the future concession of 5 highway segments covering part of the States of Santa Catarina, Minas Gerais, Goiás, Mato Grosso and Pará.

From the five highway segments whose concession has already been announced, three are directly related to the transportation of grains produced in the Midwest Region: BR -163, between Sinop (MT) and the Miritituba Port (PA), besides two segments of BR -364, between Rondonópolis (MT) and Goiânia, and between Jataí (GO) and the Triângulo Mineiro region.

The concessions are expected to be granted for a 30-year term, with obligation of lane duplication completion within the first five years of contract performance.

The Ministry of Transportation expects to carry out the auctions for concession of the new highway segments in the second half of 2014.

The deadline set forth in the RFPs for proposal submission by companies interested in performing the studies is ten days counted as of February 3. After that, the government will prepare a draft Concession Public Notice, which shall be submitted to the approval of the Federal Court of Audits (“TCU”). Only after such drafts are submitted to a public consultation process and after the final analysis and approval by TCU, is that the public procurement proceedings regarding each highway segment will be ready to be installed.

The views expressed in this document are solely the views of the author and not Martindale-Hubbell. This document is intended for informational purposes only and is not legal advice or a substitute for consultation with a licensed legal professional in a particular case or circumstance.

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